SRV GROUP PLC INTERIM REPORT 22 OCTOBER 2026 AT 08.30 EEST
SRV Interim Report 1-9/2026: Revenue increased by 28% and profitability improved significantly - order backlog exceeded EUR 1.5 billion
July-September 2026 in brief:
- Revenue was EUR 204.6 (159.7) million (+28.1%). Revenue from non-residential construction was EUR 181.6 (147.6) million and revenue from residential construction was EUR 23.0 (12.0) million. Revenue from non-residential construction increased particularly in contracting driven by data centre construction, and revenue from residential construction grew particularly in the company's own development projects. SRV Infra Oy, which was sold in December 2025, accounted for EUR 6.3 million of the revenue from non-residential construction during the comparison period.
- Operative operating profit amounted to EUR 5.3 (1.3) million. Operative operating profit was positively impacted by higher volumes than in the comparison period, coupled with an increase in the average margin.
- Operating profit was EUR 5.3 (1.3) million. The result before taxes was EUR 3.5 (-1.6) million.
- New agreements valued at EUR 690.3 (150.1) million were signed. The contract that had the greatest impact on SRV's order intake was the construction project for the final phase of the Tampere University Hospital renewal programme.
- At period-end, the order backlog stood at EUR 1,536.7 (931.3) million. In addition, the order backlog for service periods in lifecycle projects amounted to EUR 100.4 (104.1) million.
- At period-end, the total value of projects assessed by SRV as probable but not yet entered into the order backlog, was approximately EUR 1.2 (1.1) billion. Of these, data centre and industrial projects accounted for about EUR 550 million, other contracting projects for about EUR 350 million, and projects based on the company's in-house project development for about EUR 300 million.
- Excluding the impact of IFRS 16, the equity ratio was 42.7 (50.7) per cent and gearing was -41.3 (-17.3) per cent. Gearing fell to a very low level due to SRV's strong cash position.
- Financing reserves totalled EUR 129.7 (106.9 9/2025) million.
January-September 2026 in brief:
- Revenue was EUR 544.8 (489.9) million (+11.2%).
- Operative operating profit amounted to EUR 5.4 (3.2) million with an operating profit of EUR 5.4 (2.8) million. The result before taxes was EUR 0.0 (-3.4) million.
- Earnings per share were EUR -0.1 (-0.2).
- New agreements valued at EUR 1,253.2 (328.7) million were signed in January-September.
Outlook for 2026 (unchanged)
- The Group's revenue for 2026 is expected to exceed EUR 800 million (revenue in 2025: EUR 705.6 million).
- The Group's operative operating profit for 2026 is expected to be between EUR 10 and 20 million (operative operating profit in 2025: EUR 6.8 million.)
Earnings for 2026 will be weighted towards the second half of the year, when projects won in 2026 and those currently in the development phase begin to generate revenue and margins.
President & CEO's review
"All key indicators confirmed that our business began growing again in the third quarter as expected, and this positive trend should strengthen towards the end of the year.
Revenue totalled EUR 204.6 million, representing an increase of about 28 per cent on the comparison period. Although growth was primarily driven by project management contracts particularly in data centre construction, as well as lifecycle projects in non-residential construction, revenue from residential construction also grew on the back of increased volumes in SRV's development projects. Our operative operating profit improved significantly on the comparison period, and totalled EUR 5.3 million. This is a significant improvement, as the figures for the comparison period include relatively strong earnings from the sale of SRV Infra Oy. Our improved earnings are based on the successful implementation phases of several projects, but the change in portfolio structure is not yet being significantly reflected in the result.
Our order backlog increased significantly, and stood at EUR 1,536.7 million at the end of the period. The largest project that was entered into the order backlog during the review period was the final phase of the Tampere University Hospital renewal programme, which moved into its implementation phase after a long development phase. The construction project for Kuopio police station and the development phase for Lyseo Upper Secondary School in Hämeenlinna were also entered into the order backlog during the third quarter.
During the reporting period, projects assessed by SRV as probable but not yet entered into the order backlog, with a total value of as much as EUR 0.7 billion, were transferred to the order backlog. Despite this, the value of projects assessed as probable increased slightly compared with the reference period and totalled approximately EUR 1.2 billion at period-end. Of these, data centre and industrial projects increased to about EUR 550 million, driven by the addition of two new data centre projects. Other contracting projects accounted for about EUR 350 million, while projects based on the company's in-house project development increased to about EUR 300 million. ?These projects and our strong order backlog, together amounting to approximately EUR 2.7 billion, will lay a solid foundation for positive earnings growth for the remainder of the year, as well as a good start to 2027.
Our key non-financial indicators also stayed strong during the review period: the NPS (B2B), which measures customer satisfaction, remained very high at 72. We continued our determined efforts to improve occupational safety, and the accident frequency rate stood at 9.0 at the end of September. The proportion of revenue accounted for by sustainable business activities rose to 74 per cent of total revenue.
As a testament to the high quality of SRV's construction work and our ongoing development efforts, the Nissniku House construction site won the 2026 Construction Site of the Year competition at the end of September. Nissniku House is a wooden building that is being built in Kirkkonummi as a lifecycle project. In the competition, Nissniku House stood out for its open collaboration, safety, high-quality workmanship, ambitious culture of development, and a desire to advance the construction industry as a whole. This success was also reflected in high customer satisfaction, with the project receiving a perfect NPS of 100.
The Finnish economy has entered a period of clear growth, which is supporting a recovery in demand for construction. However, market conditions still vary between the various segments of the construction industry.
Demand for non-residential construction is being driven by public investments, a growing number of demanding industrial projects, and continued strong demand for renovation. Data centres have now become the most significant growth area in the Finnish construction market and a significant source of growth for SRV. We have systematically strengthened our expertise in the data centre market, and have established ourselves as one of the leading constructors in this sector in Finland. Our strong position is demonstrated by the ongoing LUMI AI Factory data centre project in Kajaani and the DayOne data centre in Lahti, as well as several data centre projects currently under negotiation, whose significance among projects assessed as probable has increased. We are selective in pursuing opportunities in the market, with a focus on a controlled risk profile and profitable execution for both us and our customers.
Recovery in the residential construction market remains slower than expected due to several concurrent factors. However, we are seeing some early signs of improvement, as rental housing supplies are returning to normal in major growth centres, which are still experiencing population growth. Demand for owner-occupied homes in good locations is similarly showing cautious signs of recovery. We are aiming to launch selected owner-occupied housing projects as market conditions allow. The most recent example is Raision Pikku Apollo, which we decided to implement after the review period.
As construction demand strengthens, particularly driven by data centre investments, key risks to be managed include ensuring the availability of skilled labour as well as the availability and cost of materials.
In early October, also after the review period, we announced an organisational change that will support the company's next phase of growth and enable us to harness the growth opportunities afforded by the market. This restructuring will primarily strengthen our ability to capitalise on brisk growth in the data centre market and the growth potential of our own project development, while also leveraging our strong local presence to expand our operations throughout Finland.
We are heading towards the end of the year with confidence, and are already setting our sights on 2027 and 2028. Our significantly strengthened order backlog, a large volume of projects under development, and the gradually improving market environment all support our outlook. "
Saku Sipola
Group Key Figures
| 7-9/ | 7-9/ | change | change | 1-9/ | 1-9/ | change | change | 1-12/ | |
| (IFRS, EUR million) | 2026 | 2025 | % | 2026 | 2025 | % | 2025 | ||
| Revenue | 204.6 | 159.7 | 44.9 | 28.1 | 544.8 | 489.9 | 54.9 | 11.2 | 705.6 |
| Operative operating profit | 5.3 | 1.3 | 4.0 | 304.4 | 5.4 | 3.2 | 2.2 | 67.2 | 6.8 |
| Operative operating profit, % | 2.6 | 0.8 | 1.8 | 1.0 | 0.7 | 0.3 | 1.0 | ||
| Operating profit | 5.3 | 1.3 | 4.0 | 304.4 | 5.4 | 2.8 | 2.6 | 95.0 | 27.5 |
| Operating profit, % | 2.6 | 0.8 | 1.8 | 1.0 | 0.6 | 0.4 | 3.9 | ||
| Profit before taxes | 3.5 | -1.6 | 5.1 | 0.0 | -3.4 | 3.4 | 19.4 | ||
| Net profit for the period | 3.0 | -1.1 | 4.1 | 0.2 | -2.2 | 2.3 | 15.5 | ||
| Net profit for the period, % | 1.5 | -0.7 | 2.2 | 0.0 | -0.4 | 0.5 | 2.2 | ||
| Earnings per share, EUR 1) | 0.14 | -0.11 | 0.25 | -0.12 | -0.22 | 0.09 | 0.78 | ||
| Order backlog (unrecognised) | 1,536.7 | 931.3 | 605.4 | 65.0 | 772.3 | ||||
| Equity ratio, % | 29.1 | 34.6 | -5.5 | 35.7 | |||||
| Equity ratio, %, excl. IFRS 162) | 42.7 | 50.7 | -8.0 | 49.4 | |||||
| Net interest-bearing debt | 61.5 | 92.2 | -30.7 | -33.3 | 56.8 | ||||
| Net interest-bearing debt, excl. IFRS 162) | -56.0 | -26.8 | -29.3 | -59.6 | |||||
| Net gearing ratio, % | 50.0 | 64.7 | -14.7 | 34.3 | |||||
| Net gearing ratio, %, excl. IFRS 162) | -41.3 | -17.3 | -23.9 | -33.4 | |||||
| Financial reserves | 129.7 | 106.9 | 22.8 | 21.3 | 144.6 |
1. In the calculation of earnings per share, tax-adjusted interest on hybrid bonds is deducted from the profit for the period.
2. The figure has been adjusted to remove the impacts of IFRS 16
Significant events after the period
On 1 October 2026, SRV announced an organisational restructuring and changes to the composition of its Corporate Executive Team. The company organises its operations in four business areas. The Southern Finland, Western and Central Finland, and Northern Finland business areas will now be responsible for both residential and non-residential construction in their respective market areas. The Data Centres business area will take on nationwide responsibility for developing the company's date centre business and managing the associated customer relationships and projects. Jarkko Salmenoja, who heads up the Data Centres business area, was appointed as a new member of the Corporate Executive Team. Marko Palonen was appointed SVP of the Northern Finland business area and a member of the Corporate Executive Team. Palonen will start in his new role at the beginning of 2027.
From now on, SRV will announce appointments and changes in management via a stock exchange release for the positions of CEO and CFO. Information about other changes in senior management will be disclosed when such changes are deemed significant to the company.
Helsinki, 22 October 2026
Board of Directors
All forward-looking statements in this interim report are based on management's current expectations and beliefs about future events. The company's actual results and financial position may differ materially from the expectations and beliefs such statements contain due to a number of factors that have been presented in this interim report.
Briefing, webcast and presentation materials
A briefing for analysts, investors and media representatives will be held at SRV's head office at Horisontti in Kalasatama, Helsinki on 22 October 2026, starting at 11:00 EEST. A webcast of the briefing can be followed live at www.srv.fi/en/investors. A recording will be available on the website after the presentation. The materials will also be made available on the website.
For further information, please contact:
Saku Sipola, President & CEO, tel. +358 (0)40 551 5953, saku.sipola@srv.fi
Jarkko Rantala, CFO, tel. +358 (0)40 674 1949, jarkko.rantala@srv.fi
Miia Eloranta, Senior Vice President, Communications and Marketing, tel. +358 (0)50 441 4221, miia.eloranta@srv.fi
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SRV in brief
SRV is a Finnish construction company established in 1987 and Finland's largest builder of non-residential premises. The company is particularly strong in public sector contracting and lifecycle projects. SRV also delivers non-residential and residential projects in growth centres based on its own project development, and partners with cities on urban development projects.
We are guided by our lifecycle-wise way of building and by our customer promise: By listening, we build wisely. Our revenue in 2025 was EUR 705.6 million. In addition to approximately 700 SRV employees, we worked with a network of around 2,900 partners. SRV is listed on Nasdaq Helsinki.
SRV - Building for life
